You pointed out that there are insufficient assets($281,013) to pay the current liabilites ($603,192). What other concerns do you see ?
RMIL Balance Sheet info of RMCW and OVIS combined:
ROCKY MOUNTAIN INTERNATIONAL, LTD.
(Formerly known as Olympus Ventures, Inc.)
COMBINED BALANCE SHEET
AS AT JUNE 30, 1997
(UNAUDITED)
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ASSETS
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Current assets:
Cash and cash equivalents $ 28,351
Accounts receivable $141,860
Inventory $110,802
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Total current assets $281,013
Current liabilities:
Notes payable $145,531
Accounts payable $457,661
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Total current liabilities $603,192
This indicates that at the time of the filing, the companies had the ability to pay less than 50 cents for each dollar owed.
Working capital is generally defined as a company's current assets minus its current liabilities. It helps analysts measure a company's ability to operate and pay its bills. The company's working capital without the $5,000,000 in equity infusion via the sale of restricted 144 stock is poor. |
